TractionLayer

SaaS Activation Diagnostic Calculator

How Much Revenue Are You Losing to Activation Failure?

Compare your activation against Vertical SaaS benchmarks and see exactly what it's costing you annually.

Total people who create an account.
Your total monthly revenue divided by your total number of paying customers.
How many of those signups actually completed setup or reached "first value"?

Enter your raw numbers to
Calculate Your Activation Gap

Calculating...

Estimated Annual Revenue Leak

$0

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Talk Through My Results

Why This Number Matters

Most churn calculators show you a single month's lost revenue. That's misleading.

In SaaS, lost MRR compounds. If you lose $1,000 in MRR in January, you don't just lose it in January, you lose it every month for the rest of the year.

This calculator shows you the true annual cost.

How We Calculate It

Step 1: Your Monthly Revenue Gap

We calculate how many users sign up but never activate, then multiply by your ARPU:

(Total Signups - Activated Users) × ARPU = Monthly Lost MRR

Example: 100 signups, 70 activate, $100 ARPU

→ 30 users × $100 = $3,000/month in lost MRR

Step 2: The Compounding Effect

That $3,000 you lose in January? You lose it again in February. And March. And every month after.

Here's how it adds up over a year:

  • January's lost $3,000 → costs you $36,000 by year-end (12 months)
  • February's lost $3,000 → costs you $33,000 by year-end (11 months)
  • March's lost $3,000 → costs you $30,000 by year-end (10 months)
  • ...and so on

Total multiplier: 12 + 11 + 10 + ... + 1 = 78

Monthly Lost MRR × 78 = Annual Revenue Leakage

In this example: $3,000 × 78 = $234,000 in lost annual revenue.

What's a "Good" Activation Rate?

It depends on your ARPU. Higher-ticket products can't afford to lose as many users:

Benchmark Targets by ARPU

Your ARPU Target Activation Rate Why
$200+ (High-ticket) 85%+ Your CAC is high. You can't afford to lose 2+ out of every 10 signups.
$50–$200 (Mid-market) 75%+ Industry standard for healthy B2B SaaS. Allows for some tire-kickers.
Under $50 (Low-ticket) 70%+ Higher volume, lower touch. A slightly lower rate is sustainable.